The phrase “growth mindset” has become a common term in today’s business world. You’ll hear it at motivational seminars, see it in job listings for tech companies, and find it in the mission statements of top-performing companies.

But even though the phrase is everywhere, many people are still unsure about what it really means. In this article, we’ll explore what a growth mindset is, where the idea came from, and how it compares to a fixed mindset. We’ll also share examples of how a growth mindset works in real life.

Just like individuals, businesses with a growth mindset are often better at dealing with challenges and adjusting to change. When a company is ready to make changes, having flexible work arrangements and the ability to grow with demand can make a big difference.

What Does It Mean to Have a Growth Mindset?

Having a growth mindset means believing that people aren’t born with fixed abilities—that talent and intelligence can grow through hard work, learning, and persistence. It’s about how someone reacts to problems, how they deal with failure, and how they learn from it.

In business, the ability to learn and grow after a setback is a major strength. People with a growth mindset are always looking for ways to get better—whether by picking up new skills, testing out different methods, or rethinking how they do things. When they face problems, they bounce back more quickly and often see challenges as chances to learn instead of roadblocks.

Encouraging this type of thinking can be very helpful in the business world, whether someone is just starting out or has been running a company for years. A growth mindset can be the key to not just staying afloat but succeeding in a fast-changing environment.

The Science Behind Growth Mindsets

The idea of a “mindset” was studied in the 1980s and 1990s by psychology professor Peter M. Gollwitzer. His work focused on how our goals and plans can affect our thoughts, emotions, and actions.

In simple terms, a mindset is a mix of a person’s attitudes, values, beliefs, and how they view the world. This applies not only to individuals, but also to teams, companies, governments, and even entire countries.

The concept of a growth mindset in psychology comes mainly from Carol Dweck, a professor at Stanford University. Her research showed that people who believe they can improve their talents and intelligence through effort usually perform better than those with a fixed mindset—people who think their abilities are set and unchangeable.

Traits of a Growth Mindset

So how can you tell if you have a growth mindset? It’s not always black and white. Most people don’t fit completely into one category or the other. We may have a growth mindset in some areas of life and a fixed mindset in others.

For example, you may take risks and be open to change in your job, but prefer routine and resist change in your personal life.

Even so, here are a few signs that suggest you may lean toward a growth mindset:

• You believe success comes from effort, not just natural ability
  
• You learn from your mistakes and take criticism seriously
  
• You think your skills and intelligence can improve over time
  
• You aren’t afraid to ask questions or admit you don’t know something
  
• You take on challenges and are open to risk
  

Why a Growth Mindset Matters

Having a growth mindset can lead to many benefits, both in your work and personal life. Here are a few ways it can make a difference:

• It builds resilience. When challenges come up, you’re more likely to see them as problems to solve instead of reasons to give up. You stay motivated and keep moving forward.
  
• It improves adaptability. Big changes won’t shake you as much. You’re more open to new ideas and willing to try something different when needed.
  
• It supports a positive outlook. When you believe you can grow your skills, failure feels less scary. You’re more confident and optimistic, which can make you a stronger leader and help create a better team environment.
  

Growth Mindset vs. Fixed Mindset

While people with a growth mindset think they can improve through effort, those with a fixed mindset believe their talents and traits are set from birth and cannot change.

That might sound like a disadvantage, but a fixed mindset can have its benefits too. It often leads to a more cautious, low-risk way of working. People with this mindset tend to focus on what they’re already good at and get strong results in those areas.

How to Develop a Growth Mindset

Your current mindset was shaped by years of life experiences, but that doesn’t mean it can’t change. Studies show that our brains are always forming new connections, even as we age. With practice and self-awareness, you can shift toward a more growth-focused mindset.

Real-Life Examples of Growth Mindset Thinking

Here are a few everyday examples of how a growth mindset can show up:

• You take small daily steps toward a goal. Change doesn’t happen overnight. But by adding small positive habits—like meditating after brushing your teeth—you build routines that lead to long-term growth.
  
• You try new things outside your comfort zone. This could be starting a new project, picking up a hobby you’ve never tried, or speaking in front of a group even if it feels uncomfortable.
  
• You stay consistent despite setbacks. Progress takes time. Even if results are slow, you keep showing up and trust that your efforts will pay off.
  
• You look for different points of view. Reading books, listening to others, or learning about new topics can open your mind. This helps you see problems from new angles and may lead you to solutions you hadn’t considered.
  

By understanding and practicing a growth mindset, you can become more open, confident, and ready to take on whatever challenges come your way. Whether in business or personal life, it’s a mindset that encourages constant learning and steady progress.